Ecopop

An Algae-based nicotine free chewing gum

Introduction:
Team Name BioFusion
Product Name Ecopop
Idea An Algae-based nicotine free
chewing gum

Company tagline The Green Way to Relax

Company Area Consumer Brands (Sustainability &
Well-being)
Geography/Country Pakistan
City Islamabad
Target market • Primary young adults (18-35)
• Smokers & Ex-smokers
• Health-Conscious consumers
Problem/solution
What problem is the company addressing?
• Millions of people globally are trying to quit smoking, but existing
nicotine replacement therapies (NRT) often rely on nicotine, keeping
users dependent on the substance.
• Many existing stress relief pills or supplements are chemically
synthesized.
• Conventional chewing gum bases are often made from synthetic
polymers, essentially plastic, which contribute to environmental litter
since they do not decompose easily.
• Many people have a habitual need for oral stimulation through chewing,
whether it’s due to stress, quitting smoking, or simply a nervous habit.
• There is an increasingly growing need for natural health and wellness
solutions.
Problem/solution
What’s the solution to the problem?
• This nicotine-free chewing gum provides a natural alternative to
managing stress, is non-addictive, and offers a calming effect,
helping smokers quit without continuing nicotine dependence.
• The gum can also serve as a stress-relief tool for non-smokers.
• Using algae as a biodegradable gum base helps tackle the issue of
gum litter and waste, aligning with environmental sustainability goals.
• A non-pharmaceutical way to manage stress, anxiety, and mental
health challenges.
• The gum taps into the growing market of plant-based, eco-friendly,
health-conscious, and sustainable products
How will the
product/technology/ solution
work?
How will the product/technology/
solution work?
Product-market fit
Tobacco/Nicotine Replacement Market:
• In 2022 an estimated 25.4 million people aged 15 and above were tobacco products users in
Pakistan and by providing a non-addictive alternative to these consumers we can help them
to quit nicotine use.
• Pakistan has a rising trend in the use of nicotine pouches and vaping devices, though the
exact figures for their usage are still developing. Globally, tobacco use remains widespread,
with over 1.3 billion tobacco users, and around 8 million deaths annually due to tobacco-
related illnesses
• The rising cost of cigarettes in an economy like Pakistan has been forcing people to look for
alternatives and has led to the rapid rise of nicotine pouches and e - ciggaretes.
• Globally, around 1.3 billion people use tobacco, but the number is projected to decrease to
1.27 billion by 2025. Quitting is a significant challenge: about 67.7% of smokers want to quit,
and about 53.3% have tried to quit in the past year, though fewer than 9% succeed annually.
Chewing Gum Industry:
• Potential for expansion into the broader gum and candy market, which includes products with
functional benefits like stress relief or oral health.
• In 2022, the global chewing gum market was valued at approximately $34 billion, with around
3.74 billion people consuming gum products annually
• In Pakistan, chewing gum is also widely consumed. In 2023, the market showed a strong
presence, with over 15 million users, driven by the increasing demand for sugar-free and
functional gum products
Sustainability (Environmental,
Social and Governance)

• 4.5 trillion cigarette butts end up as litter annually, taking

up to 10 years to break down and releasing toxic chemicals
into oceans, drains, and soil.
• Cigarette filters are made of non-biodegradable plastic
(cellulose acetate), significantly contributing to global pollution.
• Algal-based chewing gum is 100% biodegradable, eco-
friendly, and made from algae—a renewable resource that
captures CO2, making the product carbon-negative.
• Production of algal gum can adopt a zero-waste approach,
using the entire algae biomass, with leftovers repurposed into
fertilizers or other sustainable products.
Sustainability (Environmental,
Social and Governance)
• Chewing gum is socially acceptable across cultures,
making it easier for nicotine users to transition to our product
without stigma.
• Our product uses 100% natural materials, ensuring no
negative health impact on consumers and no
environmental damage.
• Chewing gum appeals to consumers from all walks of life,
making it a broad-reaching alternative to nicotine products.
• Nicotine products are often seen negatively in society, and
offering a chewing gum alternative can help users quit
nicotine in a socially acceptable way.
• All ingredients will be transparently labeled, and the
product will be marketed as a non-nicotine alternative.
Business model – key assumptions and Plan
1. Value Proposition
• Sustainability: The chewing gum is algal based, which makes it eco-
friendly and biodegradable, unlike conventional gum that uses synthetic
materials. This positions the product as environmentally conscious and
meets the sustainability goals.
• Health Benefits: There is great potential in using algal gum as a
replacement for other nicotine products to get away from the adverse
effects plus the lack of synthetic materials makes it a healthier alternative.
• Cost effective: Algal gum production is much more economical as
compared to synthetic polymers because algae can be grown easily
anywhere in vertical systems installed in a small area without requiring the
need of large spaces.
2. Customer Segments
• Environmentally Conscious Consumers: People that are interested in
the conservation of environment and sustainability for the future.
Business model – key assumptions
and Plan
• Health-Conscious Consumers: Those that are looking for a functional gum
without the addition of synthetic chemicals and are looking to stop their Nicotine
addiction.
• Students and Young Professionals: A new convenient and eco-friendly gum
that produces the same effect as nicotine should attract the younger generation.
• Specialty Retailers: Health food stores, eco-conscious retailers, and online
platforms focusing on green products.

3. Revenue Streams
• Direct Sales (Online): Setting up an ecommerce store for direct sales which
minimizes the distribution costs and increases the outreach.
• Retail Distribution: Targeting stores and retailers focusing on nicotine and eco
friendly products.
• Subscription Model: Offering a subscription to customers who want a monthly
supply of the gum.
Business model – key assumptions and Plan
4. Key Resources
• Algae Suppliers: Making a sustainable partnership with an algae supplier.
• Production Facilities: The establishment of a facility to produce algae
and reduce the overhead.
• Research and Development (R&D): Add further nutrients to the gum
and make it more attractive to health-conscious people.

5. Key Activities
• Product Development: Finalizing the development of the gum with the
best results.
• Brand Building and Marketing: Marketing the benefits of the product
through social media, influencer partnerships, and eco-focused or anti
nicotine marketing campaigns.
 Business model – Key
Assumptions and Plan
• Quality Assurance: To ensure the chewing gum and its active ingredients
are up to standard.
• Distribution Channels: develop partnerships with retailers and stores for
selling the product.

6. Key Partnerships
• Suppliers: Secure a reliable source of algae and other resources required
for chewing gum production.
• Manufacturers: Lease manufacturing equipment or outsource production
to contract manufacturers specializing in food and gum production.
• Retail Partnerships: Establish partnerships with healthy food stores,
eco-conscious retailers, and distributors and industries.
• Marketing and Influencers: Partner with eco-conscious and anti-nicotine
influencers and communities to create buzz around the product.
COST (Estimated)
Production Step Cost per Pack Explanation
Includes gum base,
Raw Materials $0.05 sweeteners, flavorings,
softeners, Algae
Costs of heating, mixing,
Mixing & Manufacturing $0.05
and shaping the gum

Costs of wrappers or blister

Packaging $0.03
packs

Costs of transporting the

Distribution $0.10
gum to retail stores

Marketing Varies -

Approximate total cost per

Total Estimated Cost $0.20
pack (excluding marketing)
Financing
Year 1 Year 5

No of Customers 2000 10,000

No of Units Sold (packs) 10,000 500,000
Cost per Pack $0.2 $0.15
Price per Pack $0.5 $0.5
Revenue ($) $5,000 $250,000
Cost of Goods Sold
$2000 $75,000
(COGS) ($)
EBITDA ($) $1500 $100,000
Variable Costs ($) $500 $25,000
Gross Margin (%) 90% 90%
Fixed Costs ($) $1000 $50,000
Profit($) $1500 $100,000
Fundraising
Amount

Burn Rate ($/month) $300

Runway (months) 0 (until funding is secured)

$6000(Initially for setting up the production

Amount Needed (2-3 years) facility and smooth running of the
Production)

Use of Funds 20% Marketing, 20% R&D, 60% Production

Equity Dilution 20%

Strategic Investors: 30%

Mix of Investors Financial Investors: 70%
Financing
Break Even Analysis (12 Months)
• Break Even Units: 3,334 packs
• ROI: 150%
• Capital Intensity: 1.43

Next Upcoming Round Financing Details:

• Amount: $5000
• Valuation: Targeting a $50,000 post-money valuation
• Financing Instrument: Debt Based
Team- Management team
NAME LALARUKH ABDUL HADI ALI ASFAND
(TEAM LEAD)
UNIVERSITY NUMS NUST NUST

DEPARTMENT NDBS SMME IESE

SEMESTER 8TH 7TH 5TH

PROGRAM BS- BE-Mechanical BE-

Biotechnology Engineering Environmental
Engineering
ROLE Production & Finance EHS Manager
Management Manager
Team- Board Structure
Mentor/Supervisor: Dr. Rashid Iftikhar
Assistant Professor (IESE-NUST)
Education: PhD (Environmental
Biogeochemistry)
Monash University (October 01, 2018 -
September 28, 2022)
Summary: Dr. Rashid Iftikhar’s research
interests include nutrient based pollution in
aquatic environments and microalgal
biotechnology. Major disturbances to the
biological, chemical and geological processes
that regulate the flow of energy and matter in
the environment have led to the development of
new approaches to tackle these challenges
Hiring/Team growth
plan for the next 1-2
years